§ 6. Mr. Knoxasked the Secretary of State for Transport how many individuals have made representations to his Department in favour of the proposal to phase out vehicle excise duty.
§ 26. Mr. Hal Millerasked the Secretary of State for Transport what further representations he has received on the proposed abolition of vehicle excise duty.
§ Mr. HoramAbout 100 individuals have written in favour of the decision. Questions raised in the consultations, which have now taken place, on timing have included the method of phasing out VED; the computation of the proposed increase in petrol taxation; and the future form of vehicle registration.
§ Mr. KnoxDoes not this response show how lacking in popularity this proposal is? Does the hon. Gentleman realise that the decision to phase out vehicle excise duty will place a heavy burden on rural dwellers, particularly those in the more remote areas? They have no alternative form of transport to the private motor car. Will he reconsider this whole proposal and withdraw it?
§ Mr. HoramAll the opinion polling which has taken place has indicated widespread public support for this proposal. On the specific question of rural areas, I refer the hon. Gentleman to the recent research done by the Open University, which pointed out that the claims made by many Opposition Members had been grossly exaggerated.
§ Mr. MillerHas the Minister not been able to understand, from the representations against the proposal, why he and the Secretary of State, in the eyes of road users and those who make, build and sell motor vehicles, as well as those who use petrol engines off the road, on the water or in the air, have come, in the Secretary of State's own words, to regard him as a one-man disaster area?
§ Mr. HoramOur consultations with motor manufacturers have indicated that they would rather we phased out VED more quickly than we are proposing.
§ Mr. John EllisWill the Minister confirm that it depends on how much is put on petrol if it replaces vehicle excise duty? The question is open to representation. Will he therefore take note that it could have a beneficial effect, or otherwise, on rural dwellers or on anybody? Will he take that into account when he makes the decision, or perhaps point it out to the Treasury?
§ Mr. HoramIt will have a beneficial effect, but the question is how large that beneficial effect will be.
§ Mr. Stephen RossWill the Minister confirm that he has received representations from small boat and light aircraft builders, who both happen to be in my constituency, and that he will consider those representations? If the price of petrol increases as steeply as is envisaged, it will affect those people severely.
§ Mr. HoramI think that the hon. Gentleman has made a fair point. There are problems which arise from the different effect of the proposals on light aircraft and small boat builders. We have received representations which we shall consider very seriously.
§ Mr. Norman FowlerDoes the hon. Gentleman agree that his current proposals will increase the price of petrol appreciably above £1 per gallon? Secondly, we still do not know what the cost will be of the new registration document that he proposes. Will he at least tell the House today how much the registration document will cost? Without that information the public will place very little value indeed upon his estimates.
§ Mr. HoramI very much hope that we can avoid any charge whatever for the registration document. If we have to make a charge, it will certainly be nominal.
§ Mr. John EllisShot down!